The launch of Bitcoin futures Exchange-Traded Fund (ETF) in the US affected the price of cryptocurrency on Wednesday.
After the introduction of Bitcoin Futures ETF, the price of the world’s largest crypto by market cap surged by over 7 percent to breach the $66,000 mark.
According to several market analysts in India, this recent development is a big validation for cryptocurrency. They further suggested other countries follow the footstep of the US.
The Indian crypto industry also sees this development as a favorable environment for themselves. They believe that the Indian Government and the regulators might soften their stance towards cryptocurrency in the country, after the launch of Bitcoin Futures ETF in the US.
“The move would increase investor confidence in cryptocurrencies as well as make regulators across the world have a relook at their stance against it,” said Nischal Shetty, the CEO of WazirX.
However, the Reserve Bank of India (RBI) is still maintaining its stance over private cryptocurrency and stated that these digital assets are disadvantageous for the country’s economy.
Apart from the RBI, the chief of Rashtriya Swayamsewak Sangh, Mohan Bhagwat, also expressed his disbelief over cryptocurrency, recently. A few days ago, while acknowledging a Dusherra event in India, he demanded the government regulate cryptocurrencies in the country.
The market experts are now hoping that the introduction of Bitcoin Futures ETF might help to change the narrative in favor of cryptocurrency.
A Research Team of CoinDCX has recently stated, “The launch of bitcoin futures ETF shows that there is clear mainstreaming visibility from both the investor and regulator landscape. This is an important step for crypto to become a digital asset class of the future recognized by all stakeholders.”
The experts further stated that the launch might attract new investors to the crypto industry.
Shetty, in his statement, has said that presently, several corporate and institutional investors maintain their distance from the crypto industry because of the regulatory uncertainty. But there are chances that with the launch of ETF more traditional investors join the industry.
The first Bitcoin Futures ETF launched on October 19, was ProShare Bitcoin Strategy ETF, which will provide exposure to Bitcoin futures contracts.
After the introduction on Tuesday, the value of the Bitcoin ETF surged 4.8 percent and reached $41.94.